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World Energy Signs Exclusive Biodiesel Production Agreement With Dow Chemical Subsidiary

World Energy Signs Exclusive Biodiesel Production Agreement With Dow Chemical Subsidiary

Published 01-18-05

Submitted by World Energy

CHELSEA, MA and MIDLAND, MI - What connects 40,000 gallons of vegetable oil, an entrepreneurial bioenergy firm, and the world's largest chemical producer? The search for viable sources of alternative energy. Today World Energy, the nation's premier producer and distributor of biodiesel fuel, announced an exclusive production agreement with Dow Haltermann Custom Processing (DHCP), a Dow business unit comprised of operations within The Dow Chemical Company and Johann Haltermann, Ltd. This agreement will further enhance World Energy's biodiesel production and distribution capabilities and is another step in helping America reduce its dependency on foreign oil.

"We are very enthusiastic about our collaboration with Dow," said Gene Gebolys, founder and president of World Energy. "Dow's global reputation for manufacturing excellence coupled with our rigorous attention to high-quality biodiesel production results in a win for both companies, as well as for consumers and the environment."

DHCP will produce biodiesel at its Houston location exclusively for World Energy in North America. DHCP will source the raw materials and produce biodiesel fuel to World Energy's exacting specifications under the agreement.

"Manufacturing biodiesel for World Energy is yet another example of how Dow is using its capabilities to reduce greenhouse gas emissions and improve energy efficiency through a variety of means, including the advancement of alternative forms of energy, ranging from fuel cell technology to renewable feedstocks," said Simon Upfill-Brown, general manager of Dow Haltermann Custom Processing. "We are, therefore, pleased to leverage the operations expertise of our custom processing division to provide World Energy with the world-class production necessary to enable the continued growth of the biodiesel market."

The use of biodiesel reduces carbon monoxide emissions by 78 percent compared to petroleum diesel, according to a 1998 biodiesel lifecycle study jointly sponsored by the US Department of Energy and the US Department of Agriculture. Integrating biodiesel is very efficient, requiring little, if any, engine adjustments and utilizing existing infrastructure.

Many public and private organizations are currently using World Energy biodiesel, including all branches of the U.S. military, Harvard University, utility fleets and many school bus systems around the country. At a B20 blend in diesel engines (20 percent biodiesel and 80 percent petroleum diesel - the most common), these groups and their communities are enjoying a 16 percent reduction in carbon dioxide emissions; a 21 percent reduction in unburned hydrocarbons; an 11 percent reduction in carbon monoxide; and a 10 percent reduction in particulate matter.

World Energy created and is the most experienced company in the development, production and supply chain fulfillment of all-climate biodiesel. The company has grown rapidly as demand for alternative fuels, particularly biodiesel, has intensified. Biodiesel fuel is gaining proponents by the day as consumers look for an answer to surging petroleum prices and government officials look for a means to reduce oil consumption and, therefore, the need for imported oil.

"As the leader in the biodiesel fuel industry, it is our responsibility to meet our nation's energy needs, now and in the future," said Gebolys. "We will continue to seek out top-tier companies like Dow Haltermann to join us in ensuring America always has available an abundant and dependable supply of energy."

"We are excited to be teamed with the leader in the U.S. biodiesel market," said Upfill-Brown. "Producing biodiesel fits our existing asset base, as well as Dow's commitment to be part of the solution for climate change."

About World Energy
World Energy is the United States' premier producer and distributor of biodiesel - an alternative, biodegradable and clean energy source made from renewable resources like vegetable oils. The company - the most proven, reliable provider of biodiesel - is a major supplier of biodiesel to petroleum distributors throughout the U.S. as well as all branches of the U.S. military and hundreds of federal, state, and local fleets nationwide, helping them meet strict emissions guidelines. Visit www.worldenergy.net for more information.

About Dow Haltermann Custom Processing
Dow Haltermann Custom Processing, a Dow business unit comprised of operations within The Dow Chemical Company and Johann Haltermann, Ltd., is the most experienced provider of contract chemical manufacturing services in the world, serving customers in a wide range of fine and specialty chemical areas, including solvents, agricultural chemicals, flavors and fragances, petrochemicals, electronics, household and personal care products, polymer intermediates and oleochemicals. Visit www.dowhaltermann.com for more information.

About Dow
Dow is a leader in science and technology, providing innovative chemical, plastic and agricultural products and services to many essential consumer markets. With annual sales of $33 billion, Dow serves customers in more than 180 countries and a wide range of markets that are vital to human progress, including food, transportation, health and medicine, personal and home care, and building and construction, among others. Committed to the principles of sustainable development, Dow and its approximately 46,000 employees seek to balance economic, environmental and social responsibilities. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. For further information, visit www.dow.com.

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